2. TABLE OF CONTENTS CHAPTER 2.0: Organizational Trends Chart 2.1: Number of Community Hospitals, 1987 – 2007 Chart 2.2: Number of Beds and Number of Beds per 1,000 Persons, 1987 – 2007 Chart 2.3: Beds per 1,000 by State, 2007 Chart 2.4: Number of Hospitals in Health Systems, 2000 – 2007 Chart 2.5: Percent of Outpatient Surgeries by Facility Type, 1981 – 2005 Chart 2.6: Number of Outpatient Surgery Centers, 2003 – 2008 Chart 2.7: Percentage of Hospitals with Physician Affiliates by Type of Relationship, 1997 – 2007 Chart 2.8: Percentage of Hospitals with Insurance Products by Type of Insurance, 1997 – 2007 Chart 2.9: Percentage of Hospitals Offering Non-hospital Services, 1997 – 2007 Chart 2.10: Announced Hospital Mergers and Acquisitions, 1998 – 2007

3. Chart 2.1: Number of Community Hospitals, (1) 1987 – 2007 Source: Avalere Health analysis of American Hospital Association Annual Survey data, 2007, for community hospitals. (1) All nonfederal, short-term general, and specialty hospitals whose facilities and services are available to the public. (2) Data on the number of urban and rural hospitals in 2004 and beyond were collected using coding different from previous years to reflect new Centers for Medicare & Medicaid Services wage area designations. (2) All Hospitals Urban Hospitals Rural Hospitals

4. Chart 2.2: Number of Beds and Number of Beds per 1,000 Persons, 1987 – 2007 Source: Avalere Health analysis of American Hospital Association Annual Survey data, 2007, for community hospitals. Number of Beds Number of Beds per 1,000

5. Chart 2.3: Beds per 1,000 by State, 2007 Source: Avalere Health analysis of American Hospital Association Annual Survey data, 2007, for community hospitals. US Census Bureau: National and State Population Estimates, July 1, 2007. Link: http://www.census.gov/popest/states/tables/NST-EST2007-01.xls. RI2.32 DE2.65 DC5.81 3 – 3.99 2 – 2.99 <2 4 – 4.99 > 5

6. Chart 2.4: Number of Hospitals in Health Systems, (1) 2000 – 2007 Source: Avalere Health analysis of American Hospital Association Annual Survey data, 2007, for community hospitals. (1) Hospitals that are part of a corporate body that may own and/or manage health provider facilities or health-related subsidiaries as well as non-health-related facilities including freestanding and/or subsidiary corporations.

7. Chart 2.5: Percent of Outpatient Surgeries by Facility Type, 1981 – 2005 Source: Verispan, Diagnostic Imaging Center Profiling Solution, 2004. (1) 2005 values are estimated based upon current trends. (1)

8. Chart 2.6: Number of Outpatient Surgery Centers, 2003 – 2008 Source: SDI. (2008). 2008 Outpatient Surgery Center Market Report.

9. Chart 2.7: Percentage of Hospitals with Physician Affiliates (1) by Type of Relationship, 1997 – 2007 Source: Avalere Health analysis of American Hospital Association Annual Survey data, 2007, for community hospitals. (1) A hospital is considered to have a physician relationship if the relationship exists as part of the hospital or a system or network of which the hospital is a part. Group Practice without Walls Management Service Organization IPA Physician Hospital Organization

10. Chart 2.8: Percentage of Hospitals with Insurance Products by Type of Insurance, 1997 – 2007 Source: Avalere Health analysis of American Hospital Association Annual Survey data, 2007, for community hospitals.

11. Chart 2.9: Percentage of Hospitals Offering Non-hospital Services, (1) 1997 – 2007 Source: Avalere Health analysis of American Hospital Association Annual Survey data, 2007, for community hospitals. (1) Includes services offered in hospital, health system, network or joint venture.

12. Chart 2.10: Announced Hospital Mergers and Acquisitions, 1998 – 2007 Source: Irving Levin Associates, Inc., The Health Care Acquisition Report, Thirteenth Edition, 2008. (1) In 2006, the privatization of HCA, Inc. affected 176 acute-care hospitals. The acquisition was the largest health care transaction ever announced. (1)